Tweet
Saudi Commerce Ministry steps in to restrain cement price
The Ministry of Commerce and Industry has stepped in to curb dramatic increases in cement prices in the western region, Al-Eqtisadiah business daily reported on Saturday.
At least 14 people involved in price fixing have been arrested following raids conducted on Thursday by ministry inspection teams.
Ten trucks have also been seized during raids on cement sales outlets in Jeddah and other parts of the region conducted in cooperation with police patrol units, according to an official source at the ministry.
The ministry has issued directives to all its branches across the Kingdom to further intensify market monitoring. The branches have also been instructed to send daily reports to the ministry about market conditions to ensure stability of cement prices.
According to the official, the ministry has been in touch with all cement factories in the Kingdom asking them to provide specific details about production and supply in the local market.
“All the companies have assured us that they would make available an adequate supply of cement at moderate prices and that was in coordination with the ministry. They have also informed us that their prices would continue to remain the same,” he pointed out.
The ministry source said strict monitoring of cement prices would continue at all markets coming under the jurisdiction of ministry branches all over the Kingdom, especially in Jeddah where cement dealers are believed to have implemented an unreasonable hike in prices recently.
“Prices have been stable at almost all sales outlets in the city following the raid. Now the price per cement bag does not exceed SR15,” he said.
According to the source, inspectors have apprehended dealers who violated regulations with regard to prices and are now being questioned by the concerned security agencies. The official urged consumers to buy the product only from sales outlets approved by the ministry and municipalities. The ministry’s move came following complaints about unreasonable price hikes of cement in Jeddah and other cities of the region.
The price of a cement bag rose to SR18 from SR15 at Jeddah market.
The situation has created anxiety among both distributors and consumers about the prospect of further price increases.
They are afraid that the upward trend in prices would eventually lead to delays in several ongoing construction projects in the region, leading them to contact the ministry.
Producers, traders and consumers all shifted responsibility for the price hikes to each other.
Subsequently, officials of cement factories as well as concerned committees at various chambers of commerce and industry in the region demanded the ministry to take urgent steps to resolve the crisis.
The Ministry of Commerce and Industry has stepped in to curb dramatic increases in cement prices in the western region, Al-Eqtisadiah business daily reported on Saturday.
At least 14 people involved in price fixing have been arrested following raids conducted on Thursday by ministry inspection teams.
Ten trucks have also been seized during raids on cement sales outlets in Jeddah and other parts of the region conducted in cooperation with police patrol units, according to an official source at the ministry.
The ministry has issued directives to all its branches across the Kingdom to further intensify market monitoring. The branches have also been instructed to send daily reports to the ministry about market conditions to ensure stability of cement prices.
According to the official, the ministry has been in touch with all cement factories in the Kingdom asking them to provide specific details about production and supply in the local market.
“All the companies have assured us that they would make available an adequate supply of cement at moderate prices and that was in coordination with the ministry. They have also informed us that their prices would continue to remain the same,” he pointed out.
The ministry source said strict monitoring of cement prices would continue at all markets coming under the jurisdiction of ministry branches all over the Kingdom, especially in Jeddah where cement dealers are believed to have implemented an unreasonable hike in prices recently.
“Prices have been stable at almost all sales outlets in the city following the raid. Now the price per cement bag does not exceed SR15,” he said.
According to the source, inspectors have apprehended dealers who violated regulations with regard to prices and are now being questioned by the concerned security agencies. The official urged consumers to buy the product only from sales outlets approved by the ministry and municipalities. The ministry’s move came following complaints about unreasonable price hikes of cement in Jeddah and other cities of the region.
The price of a cement bag rose to SR18 from SR15 at Jeddah market.
The situation has created anxiety among both distributors and consumers about the prospect of further price increases.
They are afraid that the upward trend in prices would eventually lead to delays in several ongoing construction projects in the region, leading them to contact the ministry.
Producers, traders and consumers all shifted responsibility for the price hikes to each other.
Subsequently, officials of cement factories as well as concerned committees at various chambers of commerce and industry in the region demanded the ministry to take urgent steps to resolve the crisis.
